Acharya Prashant explains that while seeking a certain degree of physical and material security is necessary for sane human functioning, absolute security is impossible in a relative and dualistic world. He clarifies that it is justified to seek security from the world to ensure basic needs like food, shelter, and employment are met. However, the problem arises when individuals seek absolute psychological contentment through material attainment and manipulation. He emphasizes that material gains do provide satisfaction initially, but this relationship is not linear and eventually follows the law of diminishing returns.